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DoT in favor of permitting standalone infrastructure providers to set up operations without payment of entry and licence fees.

December 15, 2005

To promote telecom network expansion and minimise duplication, DoT has proposed that standalone infrastructure providers be permitted to set up operations without payment of entry and licence fees.

According to the proposal, all service providers would be allowed to use the independent operators' networks to offer voice, data, internet, broadband and value-added services to their customers directly. If implemented, DoT would issue guidelines for infrastructure sharing on a rental basis. In order to ensure that independent infrastructure providers reap the maximum benefits, DoT has also proposed that roaming be made mandatory for all operators, which would encourage operators to use the infrastructure of the independent players in areas where they do not have a network. It would also end the exclusivity of Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) on roaming in their networks.

However, communications and information technology minister,Dayanidhi Maran has opposed the recommendations of both DoT and the Telecom Regulatory Authority of India (TRAI) on the controversial issue of telecom infrastructure sharing and unbundling of the local loop. While DoT and TRAI have recommended this move to "minimise wasteful duplication of resources", Maran has categorically ruled out the possibility of the government permitting sharing of BSNL's and MTNL's networks.

The minister noted that the telecom PSUs have large copper connectivity but are not sitting idle on it. According to him, private players will have to set up their own networks as well and the government is willing to assist them in this.

 
 

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